Deccan Cements Ltd (DECCANCE) AI Stock Analysis

2 Followers

Deccan Cements Ltd

(NSE:DECCANCE)

Select Model

Rating:43Neutral

Price Target:INR 470.00▼(-3.54% Downside)

Action:upgraded

Date:09/06/26

The overall score of 43 reflects a company facing substantial fundamental headwinds. The primary risks driving the low score are severe profitability deterioration, persistent cash burn requiring heavy external debt funding, and an overwhelmingly high P/E ratio. While the high dividend yield and mild short-term technical stabilization offer slight buffers, the long-term bearish price trends and elevated balance sheet risks keep the overall outlook overwhelmingly cautious.

Positive Factors

Cement market focusA focused cement business serving construction and infrastructure demand provides a clear operating identity and exposure to essential building activity. Domestic distribution gives the company an established route to market, supporting continuity of operations as end-market demand develops over the medium term.

Negative Factors

Weak cash generationPersistently negative free cash flow means the company is not consistently funding investment and other needs from internal cash generation. The very low debt coverage further limits financial flexibility, increasing reliance on balance-sheet resources while cash conversion remains weak.

Deccan Cements Ltd (DECCANCE) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 6.84B
Dividend Yield: 0.10%
Average Volume (3M): 928
Price to Earnings (P/E): 116.3
Beta (1Y): 0.78
Revenue Growth: 39.38%
EPS Growth: -70.89%
Country: India
Employees: 357
Sector: General
Sector Strength: 55
Industry: Construction Materials

Deccan Cements Ltd Business Overview & Revenue Model

Company Description

Deccan Cements Limited engages in the manufacture and sale of cement in India. The company offers ordinary portland, portland pozzolana, and sulphate resistance portland cement products, as well as other specialty cement products, such as rapid harde...

Deccan Cements Ltd Financial Statement Overview

Summary

Averaging the income statement, balance sheet, and cash flow scores reflects a highly distressed financial profile. Severe profit margin contraction, aggressive debt-fueled asset growth, and persistent negative free cash flows significantly elevate the company's financial risk, despite a modest top-line revenue recovery in 2026.

Income Statement

45Neutral

Balance Sheet

40Negative

Cash Flow

30Negative

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	7.04B	6.36B	5.27B	7.99B	7.82B	7.90B
Gross Profit	3.11B	2.47B	2.61B	2.57B	4.33B	4.06B
EBITDA	817.90M	971.35M	515.70M	920.47M	1.06B	1.62B
Net Income	58.43M	285.78M	75.19M	372.63M	492.95M	875.74M
Balance Sheet
Total Assets	0	17.11B	16.25B	14.46B	11.55B	9.85B
Cash, Cash Equivalents and Short-Term Investments	905.07M	905.07M	1.44B	2.30B	2.12B	2.97B
Total Debt	0	7.53B	7.14B	5.20B	2.65B	1.66B
Total Liabilities	-7.51B	9.60B	9.03B	7.27B	4.68B	3.39B
Stockholders Equity	7.51B	7.51B	7.22B	7.19B	6.87B	6.46B
Cash Flow
Free Cash Flow	-568.13M	-1.45B	-3.16B	-2.34B	-1.80B	370.50M
Operating Cash Flow	392.64M	543.17M	-376.42M	566.99M	549.54M	792.73M
Investing Cash Flow	-923.37M	-1.45B	-2.27B	-2.77B	-2.19B	-917.43M
Financing Cash Flow	368.01M	378.28M	1.78B	2.38B	796.52M	452.58M

Deccan Cements Ltd Technical Analysis

Technical Analysis SentimentNegative

Last Price487.25

Price Trends

50DMA529.47Negative

100DMA547.44Negative

200DMA595.32Negative

Market Momentum

MACD-14.53Negative

RSI40.96Neutral

STOCH52.50Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:DECCANCE, the sentiment is Negative. The current price of 487.25 is below the 20-day moving average (MA) of 487.70, below the 50-day MA of 529.47, and below the 200-day MA of 595.32, indicating a bearish trend. The MACD of -14.53 indicates Negative momentum. The RSI at 40.96 is Neutral, neither overbought nor oversold. The STOCH value of 52.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:DECCANCE.

Deccan Cements Ltd Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:DECCANCE against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:SHREDIGCEM	45Neutral	INR 8.64B	-102.51	―	1.71%	32.60%	-122.62%
IN:KAKATCEM	43Neutral	INR 761.92M	-4.08	―	3.02%	-22.00%	30.68%
IN:DECCANCE	43Neutral	INR 6.83B	116.32	―	0.10%	39.38%	-70.89%
IN:BURNPUR	41Neutral	INR 204.63M	-0.34	―	―	―	27.95%
IN:ACL	40Underperform	INR 3.59B	-5.94	―	―	72.06%	63.74%
IN:SAURASHCEM	38Underperform	INR 5.33B	80.02	―	―	7.86%	-51.97%

* General Sector Average

Performance Comparison

IN:DECCANCE and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:DECCANCE	Deccan Cements Ltd	487.25	-395.62	-44.81%
IN:ACL	Andhra Cements Limited	38.94	-38.18	-49.51%
IN:BURNPUR	Burnpur Cement Limited	11.88	-21.42	-64.32%
IN:KAKATCEM	Kakatiya Cement Sugar & Industries Ltd.	98.01	-38.62	-28.27%
IN:SAURASHCEM	Saurashtra Cement Limited	47.87	-49.13	-50.65%
IN:SHREDIGCEM	Shree Digvijay Cement Co. Ltd.	58.38	-30.39	-34.23%

Deccan Cements Ltd Corporate Events

Deccan Cements Reports September-Quarter Unaudited Results

Nov 12, 2026

The board on November 12, 2026, approved the unaudited standalone and consolidated financial results for the quarter ended September 30, 2026, along with the related limited review reports. Standalone revenue from operations was Rs 22,168.20 lakh, wh...

Deccan Cements Closes Trading Window Ahead of Q2 FY2026 Results

Sep 25, 2026

Deccan Cements Ltd has announced the closure of its trading window in compliance with SEBI’s Prohibition of Insider Trading Regulations, 2015, covering directors, designated employees, and their immediate relatives. The window will be shut from 1 Oct...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Sep 06, 2026

Deccan Cements Ltd AI Stock Analysis